Bank set for smaller share of home loans market

Halifax owner HBOS today said its share of the mortgage market was set to dip below 20% after tightening lending criteria in light of higher interest rates.

The British group, which achieved a 25% share of net lending in 2003, signalled the fall earlier this year when it told the City it would adopt a prudent approach to the mortgage market in the event of borrowing costs going up.